German retailer Metro is proposing to split itself in two, with its wholesale and food business to be separately listed and the consumer electronics business remaining part of the existing firm.
Metro said such a move would open up new growth perspectives and boost stock market value by allowing the two companies to focus on their respective activities.
It also said it would create possibilities for acquisitions.
"It's the logical next step in the transformation of the Metro group," chief executive Olaf Koch told journalists on a conference call.
"We have done all possible preparatory measures over the past weeks and we're convinced it is doable," he added.
Metro is Europe's fourth-biggest retailer, and owns the Media-Saturn consumer electronics and Real hypermarket chains.
It is emerging from several years of restructuring and disposals including the recent sale of its Kaufhof department stores and its cash and carry business in Vietnam.
The proposed split, which would see shareholders receiving one share in the new company and one in the existing company for each share they currently hold, needs to be approved by the management and supervisory boards.
Metro said its three anchor shareholders - Haniel, Schmidt-Ruthenbeck and Beisheim - had indicated they would support the process, which it aimed to complete by mid-2017.
